Vista Wallpaper issue

I have a Vista machine and the wallpaper is black. The background color is
set to black. The wallpaper is set to "img34", which comes with Vista.
When you look at the desktop, the desktop is black, but if you look through
the glass of the taskbar, I can see the wallpaper that is selected. If I
move the taskbar to the right side, and stretch it, I can see most of the
wallpaper behind the taskbar, but the area outside of the taskbar is black.
I have turned off all running services, and startup items with taskmanager,
and the issue still exists. If I create a new user, the new user does not
have this issue.

Any ideas would be appreciated